Duckhorn’s C-Suite Shakeup: Balancing Heritage and Hustle in a New Wine Era

ST. HELENA, CA – September 30, 2026 — The wine industry is built on the romantic ideal of time—vines maturing over decades, vintages aging in oak, and legacies passed down through generations. But in the modern boardroom, time moves at the unforgiving pace of quarterly earnings and shifting consumer demographics. As The Duckhorn Portfolio wraps up its 50th-anniversary celebrations, North America’s premier luxury wine company is proving it understands the delicate balance between the two.

Today, the company announced a sweeping executive leadership restructuring that signals a strategic pivot for its next half-century. Paul Passaro has been appointed Executive Vice President, Chief Sales Officer, effective October 5. Chanel Caplan, who joined the organization just last year, has been promoted to Executive Vice President, Chief Marketing Officer, effective today. Rounding out the trio is a move that honors the company’s agricultural roots: P.J. Alviso, a 19-year company veteran, will become Executive Vice President, Chief Operating Officer, on February 1, 2027. He succeeds Zach Rasmuson, who will transition to the Board of Directors after an impressive 23-year tenure.

“As we wrap up our 50th anniversary this year, we are thrilled to welcome Paul and to congratulate Chanel and P.J. as they step into their new roles,” said Duckhorn CEO Robert Hanson in a statement. “Together, these appointments bring the right combination of fresh perspective, deep institutional knowledge, and proven leadership to our executive team as we enter our next phase of growth.”

Navigating the Wine Slowdown with Commercial Heavyweights

To understand the strategic motivations behind these appointments, one must look past the tasting room and into the macroeconomic headwinds buffeting the global beverage market. While the global luxury wine and spirits sector is projected to reach over $414 billion by 2031, the broader U.S. wine industry is grappling with volume stagnation. Younger consumers are drinking less wine, pivoting toward spirits, ready-to-drink (RTD) cocktails, and non-alcoholic alternatives. The path to profitability now relies heavily on “premiumization”—convincing consumers to drink less, but drink better.

This is exactly where Passaro and Caplan come in. The company is actively fortifying its commercial front lines with veterans who know how to maneuver in a crowded, consolidating market. Passaro brings a quarter-century of experience from industry titans like E. & J. Gallo Winery and O’Neill Vintners & Distillers. His deep understanding of the labyrinthine three-tier distribution system is critical. The wine producer recently renegotiated major distribution contracts with powerhouses like Republic National Distributing Company and Breakthru Beverage Group, securing aggressive growth commitments. Having a sales chief who can navigate these massive distributor networks while overseeing national accounts and export strategies is no longer a luxury; it is an absolute necessity.

“I’ve admired The Duckhorn Portfolio since the very beginning of my career, when I had the opportunity to represent these remarkable brands as a sales consultant,” Passaro noted. “It’s truly a full-circle moment.”

Caplan’s rapid ascent to CMO reflects a similar urgency to capture consumer attention. Before joining the company in February 2025 as Senior Vice President of Brand Management for Premium Brands, she spearheaded growth for Kim Crawford and Meiomi at Constellation Brands and served as President of Rancho La Gloria, a top wine-based cocktail brand. Her background in the booming RTD space and business transformation across consumer packaged goods gives her new team a modern marketing edge.

“I look forward to finding new ways to connect with our consumers as we continue to fulfill our company’s mission to elevate life’s meaningful moments,” Caplan said of her new role. Her mandate will include overseeing direct-to-consumer (DTC) channels—a highly profitable segment that currently accounts for roughly 12% of sales, representing a massive runway for growth.

The Art of the Handoff: A Rare Succession Plan

While the sales and marketing appointments look outward, the operations transition looks deeply inward. In an era where C-suite tenures are increasingly brief, the multi-month handover between outgoing COO Zach Rasmuson and incoming COO P.J. Alviso is a masterclass in corporate continuity.

Rasmuson has been a steadying force for 23 years, spending the last 15 as COO. His transition to the Board of Directors ensures that his institutional memory will not simply walk out the door. Furthermore, his continued leadership of The Duckhorn Portfolio Founders Fund—which supports educational programs for historically disadvantaged groups—cements the organization's commitment to community integration beyond mere profit margins.

“After 23 years, I could not be more confident in the organization’s direction, or in P.J. as my hand-picked successor,” Rasmuson remarked in the official release.

Alviso’s rise is the kind of narrative the agricultural industry loves but rarely executes at scale. Joining the company in 2007, his career began quite literally in the dirt, overseeing vineyard management and grower relations. Over nearly two decades, he systematically expanded his purview, eventually leading winemaking and sourcing strategies across the Central Coast and the Pacific Northwest.

“Having spent nearly 19 years growing alongside The Duckhorn Portfolio, and a lifetime spent on vineyards like ours, I have a deep appreciation for the people, craftsmanship, and commitment to quality that have made this company what it is today,” Alviso stated.

By elevating a leader who understands the microclimates of their 2,200 vineyard acres as intimately as the supply chain logistics, the board protects the core product that Passaro and Caplan are tasked with selling. It is a strategic hedge: aggressively modernize the commercial strategy while fiercely guarding the agricultural heritage.

A 50-Year Legacy Meets a Shifting Market

The backdrop to these leadership changes is a period of aggressive, albeit complex, financial maneuvering. In April 2024, the company completed a monumental $400 million acquisition of Sonoma-Cutrer Vineyards from Brown-Forman Corporation. The deal instantly vaulted the producer into a dominant position within the luxury Chardonnay category, a segment where it had historically lacked a strong foothold.

However, integrating such a massive asset while navigating industry-wide inventory adjustments has presented distinct challenges. Fiscal first-quarter results for 2025 revealed that while overall net sales jumped nearly 20% to $122.9 million—largely thanks to Sonoma-Cutrer—organic net sales declined by 8.2% due to one-time inventory transfers. Net income also saw a 20.7% dip during the same period.

These numbers illuminate the strategic reality behind today's announcements. A luxury brand cannot rely solely on acquisitions for long-term growth; it must organically drive demand and optimize its existing portfolio. Passaro is tasked with pushing the newly expanded portfolio through wholesale channels, leveraging his relationships to ensure premium shelf space. Caplan must craft a narrative that resonates with a new generation of drinkers, pulling them into the DTC ecosystem where margins are highest.

Meanwhile, Alviso will be responsible for integrating the operational complexities of eleven wineries, nine winemaking facilities, and 38 estate properties spanning multiple states. It is a logistical puzzle that requires exactly the kind of granular, ground-up expertise he has spent the last 19 years developing.

As the broader beverage industry braces for continued consolidation and shifting consumer tastes, the entities that survive will be those that can operate with the scale of a multinational corporation while maintaining the soul of a boutique vineyard. With its latest C-suite configuration, this luxury wine leader is betting that it has found the exact formula to do both.